Raytheon wins $729 million in counter-drone contracts covering Qatar and Jordan
Key Facts
Raytheon, an RTX business, announced on October 13, 2026, that it had won contracts worth a combined $729 million to supply key components of the LIDS integrated counter-drone defense system. The contracts cover the U.S. Army, Qatar and Jordan, according to a company statement identifying the recipients of the contracted components. The company said the agreements represent the "first international sales" of the KuRFS radar and Coyote interceptor, expanding the customer base for the two products to include Qatar and Jordan alongside the U.S. Army. The contracts include a mix of fixed and mobile system configurations, in a package combining threat detection and interception components. The announcement puts Arab customers at the center of the two products' international expansion, while the announced contracts also cover U.S. Army requirements.
The system combines a radar to detect threats with an interceptor to counter drones, according to Raytheon's description of the roles of the components covered by the contracts. The KuRFS radar provides threat detection with 360-degree coverage, while Coyote intercepts individual drones and swarms using kinetic and non-kinetic means. Raytheon describes the radar's role as encompassing continuous detection, identification and tracking of airborne threats, going beyond detecting their presence in the airspace. The range of threats addressed on the company's radar webpage includes rockets, artillery and mortars, alongside drones. The company's description of its detection capabilities thus extends to multiple airborne threats, while the interceptor's role in the contract announcement focuses on countering drones, whether operating individually or in swarms.
Raytheon said Coyote had recorded "hundreds of intercepts in combat," citing its operational use in describing its counter-drone capabilities. The product's operational webpage describes the interceptor as low-cost and rail-launched in its presentation of the system's missile variant. The interceptor uses a rocket booster and turbine engine, according to product specifications published by the company. The Pentagon previously announced the award of a $5.04 billion U.S. Army contract to Raytheon for the Coyote system, according to Reuters, citing the U.S. Defense Department. That contract falls under an earlier program separate from the current contract package and concerns the interceptor system whose international sales have become part of the company's latest announcement.
In the broader financial context, RTX reported Raytheon's reported and adjusted sales of $8,031 million in the third quarter. That represents a 14% increase from the same quarter a year earlier, according to the company's earnings statement. The group attributed the unit's sales growth to higher volumes in naval programs and land and air defense systems. Programs named by the company included Patriot, Standard Missile and Tomahawk in its account of the sources of the annual sales increase. The growth drivers cited in Raytheon's results thus spanned naval programs and land and air defense systems, alongside the company's counter-drone component business covered by the announced contracts.
On interceptor development, Raytheon announced 3 successful tests of Coyote upgrades under a company-funded program. The program moved from concept to testing in 15 months, according to the company's statement on the tests, which preceded the contract announcement. The test series confirmed the upgraded interceptor's initial integration with existing counter-drone architecture, according to Raytheon's description of the results. The trials thus addressed upgrades to the interceptor and its ability to integrate with an existing system, as part of the development program outlined by the company. This technical work forms part of Raytheon's development of the Coyote family, in parallel with contracts to supply counter-drone system components to U.S. and Arab customers.
The next development steps outlined by Raytheon include integrating a rocket motor that enables faster launch and flight as part of the interceptor's capability upgrades. The development plan also includes a new seeker and warhead, which the company said are intended to counter current and emerging drone threats. The announced enhancements include increased range at higher altitudes, alongside work on the interceptor components covered by the development plan. In its statement issued on October 13, 2026, Raytheon said it was "accelerating production of the Coyote interceptor family" to meet global demand for these systems. The company's announced plans thus combine faster production of the interceptor family with improvements to its capabilities against drone threats, including upgrades to launch, flight, seeker and warhead components.